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LinkedIn Faces Legal Heat Over Alleged AI Data Sharing Scandal

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NAIROBI, Kenya – LinkedIn, the go-to platform for professionals worldwide, is under scrutiny after a U.S. lawsuit alleged it shared users’ private messages with third parties to train artificial intelligence (AI) models. 

Filed in a California federal court, the lawsuit accuses LinkedIn of violating privacy standards and contractual agreements by opting users into data-sharing programs without explicit consent.

The lawsuit, representing LinkedIn Premium users, seeks $1,000 per user for breaches of the U.S. federal Stored Communications Act and additional compensation for violations of California’s unfair competition law and breach of contract.

The lawsuit claims that in August 2022, LinkedIn quietly introduced a privacy setting that automatically opted users into sharing their data for AI training. 

To make matters worse, it alleges LinkedIn updated its privacy policy the following month to reflect that personal data could be disclosed for AI purposes.

According to the lawsuit, LinkedIn also revised its FAQs to allow users to opt out of data sharing. 

However, the platform clarified that opting out would not affect AI training that had already occurred. 

“LinkedIn’s actions  indicate a pattern of attempting to cover its tracks,” the filing stated, alleging the platform knowingly violated privacy standards while minimizing public backlash.

A LinkedIn spokesperson denied the allegations, telling the BBC that the claims were “false and without merit.”

Despite the legal firestorm in the U.S., LinkedIn told its users in 2022 that it had not enabled data sharing for AI purposes in the UK, the European Economic Area, or Switzerland. 

The platform, which boasts over a billion users globally—nearly a quarter in the U.S.—has also been expanding its AI features, fueling rapid growth in its premium subscription base.

In 2023, LinkedIn raked in $1.7 billion from premium subscriptions, demonstrating the significant role paid memberships play in its revenue strategy. 

The lawsuit, however, raises questions about whether AI innovations are coming at the expense of user trust and privacy.

As the lawsuit unfolds, it shines a spotlight on the growing tension between AI advancements and data privacy. 

For LinkedIn, a company that thrives on trust within the professional community, the outcome could have lasting implications on its reputation and operations.

George Ndole
George Ndole
George is an experienced IT and multimedia professional with a passion for teaching and problem-solving. George leverages his keen eye for innovation to create practical solutions and share valuable knowledge through writing and collaboration in various projects. Dedicated to excellence and creativity, he continuously makes a positive impact in the tech industry.

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